Cases8000264/2024

Claimant v Heritage Funeral Services Ltd

3 September 2024Before Employment Judge L MurphyScotlandin person

Outcome

Claimant succeeds£2,015

Individual claims

Unlawful Deduction from Wagessucceeded

The tribunal found the respondent made an unauthorised deduction of £184.62 (2 days' pay) from the claimant's final wages. While the respondent was entitled to deduct 5 days' pay for excess holiday taken, it attempted to deduct further amounts to recover a £400 exam fee based on a verbal agreement. The tribunal held this deduction was not authorised by statute, a relevant contractual provision in writing, or the claimant's prior written consent, thus breaching s.13 ERA 1996.

Wrongful Dismissalsucceeded

The tribunal found the respondent dismissed the claimant without notice on 9 February 2024. The claimant was contractually entitled to one month's notice. The respondent argued the employment ended by mutual agreement or, alternatively, that gross misconduct justified summary dismissal. The tribunal rejected both defences: the claimant left under threat of dismissal (not consensual termination), and there was no evidence of conduct amounting to a repudiatory breach justifying dismissal without notice.

Facts

The claimant worked as an embalmer for the respondent funeral services company in two periods: July 2022 to May 2023, and October 2023 to February 2024. On 9 February 2024, the respondent's director confronted the claimant after receiving a reference request from the University of Glasgow. He told her she could leave or be dismissed, accused her of gross misconduct without explanation, and escorted her from the premises. The respondent withheld her final wages and notice pay, claiming entitlement to deduct for excess holidays and a £400 exam fee paid in 2022.

Decision

The tribunal found the respondent dismissed the claimant without notice on 9 February 2024. The dismissal was not consensual as it occurred under threat. The respondent failed to prove gross misconduct justifying summary dismissal. The claimant was entitled to one month's contractual notice pay (£1,830.70 net). The respondent also made an unauthorised deduction of £184.62 from final wages by attempting to recover the exam fee without proper contractual authorisation or written consent as required by s.13 ERA 1996.

Practical note

Employers cannot rely on informal verbal agreements to deduct sums from final wages without compliance with s.13 ERA 1996's requirements for written contractual terms or prior written consent, and allegations of gross misconduct justifying summary dismissal require clear supporting evidence and cannot be asserted retrospectively to defend wrongful dismissal claims.

Award breakdown

Notice pay£1,831
Unpaid wages£185

Award equivalent: 4.4 weeks' gross pay

Legal authorities cited

Riley v Direct Line Insurance Group Ltd [2023] EAT 118

Statutes

ERA 1996 s.13ERA 1996 s.87ERA 1996 s.88Employment Tribunal Extension of Jurisdiction (Scotland) Order 1994ERA 1996 s.86

Case details

Case number
8000264/2024
Decision date
3 September 2024
Hearing type
full merits
Hearing days
1
Classification
contested

Respondent

Sector
other
Represented
Yes
Rep type
in house

Employment details

Role
Embalmer
Salary band
£20,000–£25,000
Service
4 months

Claimant representation

Represented
No